U.S. TelePacific Corp. has officially filed for bankruptcy protection using Chapter 11. The company currently operates as TPx Communications, an Austin, Texas-based managed services provider and telecommunications company.
TPx has also announced an amended restructuring support agreement with its sponsor and lenders holding approximately 98% of its funded debt.
Overview of the Filing
Case records, as available on PACER, show that U.S. TelePacific Corp. submitted a Chapter 11 petition on June 28, 2026. Court records also show that the following 11 affiliates filed separate Chapter 11 petitions and requested joint administration:
- U.S. TelePacific Holdings Corp.
- Mpower Holding Corporation
- Mpower Communications Corp.
- TPx International Holdings Corp.
- NextWeb, Inc.
- DSCI, LLC
- OCiX, Inc.
- Arrival Communications, Inc.
- TPx Communications Co.
- Big City Networks, Inc.
- ICG ChoiceCom L.P.
According to S&P Global, TPx was unlikely to pay back around $372 million on its first-lien senior secured term loan that matured in May 2026. At the time, TPx had roughly $33 million in cash. The company was also expected to generate only enough cash to cover its operating needs.
TPx Enters into a Restructuring Support Agreement
According to an official press release, TPx has announced an amended restructuring support agreement (RSA) with lenders representing approximately 98% of its funded debt. The company hopes to improve its balance sheet by reducing debt and raising new capital.
To implement the RSA, the company and its 11 affiliates made their filings in the U.S. Bankruptcy Court for the Southern District of Texas. Operations are expected to continue as normal with uninterrupted customer services throughout the court proceedings.
TPx has secured a commitment for approximately $73.6 million in debtor-in-possession financing to maintain operations and fund its prepackaged restructuring.
The company also filed customary first-day motions seeking court approval to support operations during the Chapter 11 process. The motions are intended to help the company meet key obligations and maintain relationships with vendors and technology partners.
The press release adds that the company has retained the following professionals for its case:
- Sidley Austin LLP – legal counsel
- Portage Point Partners – financial advisor
- Steven Shenker – CRO
- PJT Partners, Inc. – investment banker
- FTI Consulting, Inc. – communications advisor
Davis Polk & Wardwell LLP is the legal counsel of ad hoc group of lenders. Whereas, Haynes & Boone LLP is its local counsel and Guggenheim Securities, LLC is the financial advisor.
About the Company
TPx operates as a managed IT services provider, which helps businesses handle cybersecurity, networking, cloud communications, and collaboration technologies. According to its website, the company serves over 11,000 customers throughout the country. With more than 25 years in business, the company serves customers across industries including healthcare, finance, education, and legal services.
Highlights from the Petition
Case filings show that Steven Shenker signed the petition prior to filing on June 28, 2026. Attorney Duston K. McFaul of Sidley Austin LLP is listed as representing U.S. TelePacific Corp. in the court.
The company submitted a consolidated list of creditors who have the 30 largest unsecured claims and are not insiders. Uniti Leasing X LLC is the largest unsecured creditor with more than $4 million in unsecured claims. Court filings indicate that funds will be available for distribution to the unsecured creditors.
Other document filings included a list of equity security holders and a corporate ownership statement.
A summarized version of the Chapter 11 petition is shared here:
- Filing Date: June 28, 2026
- Court and Jurisdiction: U.S. Bankruptcy Court for the Southern District of Texas
- Type of Filing: Active, Voluntary Petition
- Chapter: 11
- Case Number: 26-34541
- Estimated Assets: Between $100,000,001 and $500 million
- Estimated Liabilities: Between $1,000,000,001 and $10 billion
- Estimated Creditors: Between 1,000 and 5,000
- Reason for Filing: Restructure business under court supervision
The Chapter 11 case will now proceed in bankruptcy court as the company works to complete its proposed restructuring while continuing normal operations.
